including over a third of the top 25 banks
working in our international finance centre
Because the industry is always changing, we’re always on hand to cater for niche and digital banking providers, as well as traditional institutions – working with some of the biggest names in the world.
Why Jersey for Banking?
Here are some of the reasons we’re one of the world’s preferred banking partners:
- Our banking model is diversified and doesn’t rely on wholesale funding, meaning that money from other countries doesn’t go into the Jersey economy but instead goes to major banks in London, Paris, Frankfurt and other leading centres. This is why Jersey has received an AA-credit rating from Standard & Poors
- Jersey represents an extension of the City of London for corporate treasurers, institutional bankers and treasury specialists, fund promoters, brokers and other corporate financiers
- Jersey is home to global banking organisations from the UK, Europe, North America, South Africa, Asia, and the Middle East
- Jersey’s banking sector has been able to provide services to support the fast-growing alternative investment funds industry, in particular the real estate, private equity and hedge fund markets
- We provide an extensive range of services, including multi-currency banking, offshore mortgages, investment solutions and more
- Jersey’s banking sector holds an average Tier 1 Capital ratio that’s 50% higher than Basel III requirements
- There are more than 20 bank branches and subsidiaries located in Jersey and they include nearly half of the top 25 banks in the world, by Tier 1 Capital
Future of Banking
Launched in 2016, the Future of Banking Review was created to analyse the challenges faced by the Jersey banking sector and outline strategic objectives to safeguard the future. The report analysed a wide range of challenges, from regulatory developments to disruptive technologies, and identified three vital areas:
- Banking groups consolidating operations across IFCs, with a focus on cost-cutting, quality and increased regulatory costs
- Digitisation of services, which are putting pressure on banks’ offshore operations
- The de-leveraging of the global banking system, which is restricting the profitability and growth of Jersey’s banks
From these challenges, we’ve developed a positive action plan that involves working with our stakeholders, Digital Jersey and the whole financial services industry. Together, we’ll focus on three clear objectives:
- Make certain that Jersey emerges as a leader from the consolidation of banks
- Run new banking activities to increase the value in our banks’ deposit books
- Work with digitisation and innovation to help us maintain employment and competitiveness in the future
For banks or advisors interested in exploring the opportunities in Jersey, please get in contact with email@example.com
While ESG investing has been gaining pace steadily over a number of years, the use of environmental, social and governance (ESG) factors in financing arrangements has seen a more recent surge. Also known as sustainability linked lending (SLL), this approach can enable borrowers to pay lower interest rates by meeting a lender’s key performance indicators (KPIs).
SSL is just one of ways that Jersey’s banking institutions are supporting the growth of sustainable finance. 9 out of the Top 10 banks in Jersey by total assets have committed to the United Nations Principles for Responsible Banking (PRB). The PRBs that were established in 2019 to encourage the banking community to make a positive contribution to people and the planet by aligning their business practices with the UN’s Sustainable Development Goals and Paris Climate Agreement. Locally, our banks are supporting Jersey’s transition to a more sustainable island through green loans and other initiatives that focus on tackling the climate emergency.